Are Student Loans Forgiven if School Loses Accreditation?

I was thinking about enrolling in a program at Trident University and now I see that they are in danger of losing their accreditation. I looked around to see what would happen to student loans taken out at the school if this does happen (are they forgiven?)

There was conflicting information, from what I saw. Some sources said yes, others said no.

Does anyone here have a definitive answer for this?

 

Wow, it seems that you're looking for a FREE education through the American Taxpayers. Anyway, I don't think so...the loan does not have to do anything with the school. Federal Loan and Private Loan; Private Loan, it does not matter if the school is accredited or unaccredited. Once you sign the loan agreement, you have to pay it back regardless you graduate or not. In the same token, the Federal loan is similar; but require you to enroll into an accredited institutions, which entitle to title 4.

 

No, they are not forgiven. In fact, I can think of one or two instances in which a flight school closed down (taking the student's prepayments with them) and the students were left saddled with debt for training thy never fully received.

Choose Wisely.

 

I disagree that you should do this. If they are losing accreditation means their educational degree sucks anyway. Might be an easier degree but is a employer going to even acknowledge it also. Just two things to consider. Now, for your actual question here is a link that shows all the manners in which loans are forgiven. So for the one poster that said if the school closes his friend might have been just stuck with the payments or they attended almost the entire time. But there is a section on school closure. Loan Cancellation/Forgiveness/Discharge Conditions: Detailed Explanations

good luck

 

One way your loans can be discharged or cancelled is when the school closes (before student could complete program of study) or false loan certification.

Loosing accreditation (I personally do not think they will loose it) does not mean Trident will close/shut down, so any loans taken out to attend Trident will not be discharged or cancelled (should they loose it). Any sane person, in my opinion, should stay away from Trident for now, except maybe Trident offers some type of huge tuition discount to offset the risk/trade off.

 

lose accreditation....
losing accreditation.....
Thanks for the correction!

 

The fact that our op has not responded within 3 days must surely demonstrate that he's a troll and as such, is best ignored.
Let's not waste our time.

 

If you take a loan, you are on the hook Baby.